Dollar continues to fall due to sagging economy

Dollar continues to fall due to sagging economy

The dollar continued it’s one way path yesterday as the greenback broke through record lows against the euro. The Fed’s Chairman ‘Ben Bernanke’ reported on Monterey Policy yesterday and indicated the Fed is more concerned about the sagging economy than the immediate risk of inflation. He named housing, labor and credit markets as risks to economic growth, outstripping inflation concerns. That suggests policy makers remain on track to ease interest rates again next month. The dollar dropped to as low as $1.5143 before falling back to the $1.51 level. The dollar was also within touching distance of the $2 mark against sterling. Durable goods also fell last month confounding the dollars woes.